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    Principles of Cost Accounting
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    Exam 10: Cost Analysis for Management Decision Making
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    The Margin of Safety Ratio Is Equal To
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The Margin of Safety Ratio Is Equal To

Question 41

Question 41

Multiple Choice

The margin of safety ratio is equal to:


A) Net operating income percentage / Contribution margin ratio.
B) Contribution margin / Sales.
C) Contribution margin / Net operating income.
D) Margin of safety / Fixed cost.

Correct Answer:

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